Artelo Biosciences Announces Proposed Underwritten Public Offering

Rhea-AI Summary

Artelo Biosciences (Nasdaq: ARTL), a clinical-stage pharmaceutical company, has announced the commencement of an underwritten public offering of common stock and/or pre-funded warrants. The offering will be managed by R.F. Lafferty & Co., Inc. as the sole book-running manager.

The securities will be offered through a "shelf" registration statement previously filed with the SEC (File No. 333-273153) and declared effective on July 14, 2023. The company focuses on developing treatments for cancer, pain, dermatologic, and neurological conditions through lipid-signaling pathway modulation.

Positive

• None.

Negative

• Potential dilution of existing shareholders through new stock offering
• Uncertain offering terms and pricing
• No guaranteed completion of the offering due to market conditions

Insights

Financial Analyst

Artelo Biosciences announced a public offering of stock/warrants, indicating likely dilution for existing shareholders amid capital raising efforts.

Artelo Biosciences (ARTL) has announced the commencement of an underwritten public offering of common stock and/or pre-funded warrants. This capital-raising move signals the company's need for additional funding to support its clinical-stage pharmaceutical development pipeline focused on lipid-signaling pathway modulation for cancer, pain, and other conditions.

The offering will be managed by R.F. Lafferty & Co. as the sole book-running manager and will be conducted under the company's existing shelf registration (Form S-3). While the company hasn't disclosed the offering size or price, this equity issuance will almost certainly result in dilution for existing shareholders.

The timing of this capital raise is notable as clinical-stage biotech companies frequently require substantial funding to advance their drug candidates through expensive clinical trials. Without specific details on how the proceeds will be used, investors should anticipate the funds will support Artelo's ongoing R&D activities and operational expenses.

The company's cautionary language that "there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering" suggests some uncertainty around market conditions and investor appetite for this offering. This financing approach, rather than pursuing partnerships or non-dilutive funding, may indicate limitations in Artelo's strategic options for raising capital at this stage of development.

SOLANA BEACH, Calif., Sept. 03, 2025 (GLOBE NEWSWIRE) -- Artelo Biosciences, Inc. (Nasdaq: ARTL), a clinical-stage pharmaceutical company focused on modulating lipid-signaling pathways to develop treatments for people living with cancer, pain, dermatologic, or neurological conditions, today announced it has commenced an underwritten public offering of its common stock and/or pre-funded warrants. All shares of common stock and/or pre-funded warrants in the offering are to be offered by the Company. The offering is subject to market conditions, and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering.

R.F. Lafferty & Co., Inc. is acting as the sole book-running manager for the offering.

The shares of common stock and/or pre-funded warrants are being offered by the Company pursuant to a "shelf" registration statement on Form S-3 (File No. 333-273153), which was filed with the U.S. Securities and Exchange Commission (SEC) and declared effective by the SEC on July 14, 2023, and the accompanying prospectus contained therein.

The offering is being made only by means of a prospectus supplement and accompanying prospectus. A prospectus supplement describing the terms of the public offering will be filed with the SEC and will form a part of the effective registration statement.

Copies of the prospectus supplement and the accompanying prospectus relating to this offering may be obtained, when available, on the SEC’s website at http://www.sec.gov or alternatively, from: R. F. Lafferty & Co., Inc., 40 Wall Street, Suite 3602, New York, NY 10005; (212) 293-9090.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any of the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Artelo Biosciences
Artelo Biosciences, Inc. is a clinical-stage pharmaceutical company dedicated to the development and commercialization of proprietary therapeutics that modulate lipid-signaling pathways, with a diversified pipeline addressing significant unmet needs in anorexia, cancer, anxiety, dermatologic conditions, pain, and inflammation. Complementing its scientific innovation, Artelo has adopted a forward-looking corporate finance initiative whereby it is deploying a portion of its excess capital into Solana under its digital asset treasury strategy. Led by an experienced executive team collaborating with world-class researchers and digital-asset technology partners, Artelo applies rigorous scientific, regulatory, commercial, and treasury management practices to maximize stakeholder value. More information is available at www.artelobio.com and X: @ArteloBio.

Forward Looking Statements

This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and Private Securities Litigation Reform Act, as amended, including those relating to the timing of the offering, satisfaction of customary closing conditions related to the offering and sale of the shares of common stock and our ability to complete the offering. These forward-looking statements are based on current expectations, estimates, forecasts and projections about the industry and markets in which we operate and management’s current beliefs and assumptions. These statements may be identified by the use of forward-looking expressions, including, but not limited to, “expect,” “anticipate,” “intend,” “plan,” “believe,” “estimate,” “potential,” “predict,” “project,” “should,” “would” and similar expressions and the negatives of those terms. These statements relate to future events or our financial performance and involve known and unknown risks, uncertainties, and other factors which may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include those set forth in the Company’s filings with the Securities and Exchange Commission, including our ability to raise additional capital in the future. Prospective investors are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date of this press release. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise, except to the extent required by applicable securities laws.

Investor Relations Contact:
Crescendo Communications, LLC
Tel: 212-671-1020
Email: ARTL@crescendo-ir.com

FAQ

What type of securities is Artelo Biosciences (ARTL) offering in September 2025?

Artelo Biosciences is offering common stock and/or pre-funded warrants through an underwritten public offering.

Who is managing Artelo Biosciences' (ARTL) public offering in 2025?

R.F. Lafferty & Co., Inc. is acting as the sole book-running manager for the offering.

What is the purpose of Artelo Biosciences' (ARTL) public offering?

While specific use of proceeds wasn't disclosed, Artelo Biosciences is a clinical-stage pharmaceutical company developing treatments for cancer, pain, dermatologic, and neurological conditions.

When was Artelo Biosciences' (ARTL) shelf registration statement declared effective?

The shelf registration statement (File No. 333-273153) was declared effective by the SEC on July 14, 2023.

What therapeutic areas does Artelo Biosciences (ARTL) focus on?

Artelo Biosciences focuses on modulating lipid-signaling pathways to develop treatments for people living with cancer, pain, dermatologic, and neurological conditions.